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'rate Rise Threat To Property Market'

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Here ya go...

http://www.dailymail.co.uk/pages/dmstandar...e_id=2&ct=5

Today's decision is likely to cost homeowners with an average £80,000 mortgage just over £12 a month.

An £80,000 mortgage ... what planet is that on then? Still, £12 a month = £144 a year = £3,600 over 25 years! (Yes, I know those on repayment mortgages wouldn't quite pay that much as the amount owed decreases YoY, but for illustrative purposes ... and those on IO mortgages!) Now what if there were to be another rise in the next couple of months? :ph34r:

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An £80,000 mortgage ... what planet is that on then?

Unfortunatly the DM is written for the BBs who DO have mortgages that are this small. They are not interested in anyone under the age of 40 and if you happen to rent your own home, you are probably seen as the cause of all of the county's problems as it is.

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I wish they'd get their act together. On the one hand we're told that this won't affect anyone because it will only add 12 quid a month to their mortgage, on the other we're told their kids will go hungry because they can't afford the extra interest. Which is it?

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I wish they'd get their act together. On the one hand we're told that this won't affect anyone because it will only add 12 quid a month to their mortgage, on the other we're told their kids will go hungry because they can't afford the extra interest. Which is it?

you needn't concern yourself with that. Just be satisfied that house prices will not be affected, ok? :rolleyes:

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Unfortunatly the DM is written for the BBs who DO have mortgages that are this small. They are not interested in anyone under the age of 40 and if you happen to rent your own home, you are probably seen as the cause of all of the county's problems as it is.

I'm 35 and my mortgage is around £80k. I bought in 1999 when I was 28.

I would say a lot more people have lower mortgages than you think. Only the very silly people who have bought in the last 2/3 years, or are low earner home owners with high debts will be stretched.

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This £12 a month on an £80,000 mortgage figure seems to be used absolutely everywhere (http://*******.com/h8s35). Does anyone know who might have originally released this datum into the wild and how on earth they came up with it?

YEP.

Use the guardian mortgage calculator for:

£80k

Over 25 years

At 4.5% = Monthly = £444

At 4.75% = Monthly = £456

bingo.

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I'm 35 and my mortgage is around £80k. I bought in 1999 when I was 28.

I would say a lot more people have lower mortgages than you think. Only the very silly people who have bought in the last 2/3 years, or are low earner home owners with high debts will be stretched.

I'm 40 and my mortgage is £320K.

But then I'm extraordinarily stupid to have bought earlier this year.

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Guest Charlie The Tramp

I would say a lot more people have lower mortgages than you think. Only the very silly people who have bought in the last 2/3 years, or are low earner home owners with high debts will be stretched.

Don`t forget many of those have probably now remortgaged for MEW purposes. I have been informed from a good source that some people with very low mortgages took out a further £100k plus to buy their dream holiday home abroad.

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I'm 40 and my mortgage is £320K.

But then I'm extraordinarily stupid to have bought earlier this year.

Will you still be able to afford your mortgage if rates hit 6%?

Don`t forget many of those have probably now remortgaged for MEW purposes. I have been informed from a good source that some people with very low mortgages took out a further £100k plus to buy their dream holiday home abroad.

Yes I guess thats what I meant with high debts.

How are the reposessions going? You're the man arent you charlie for those type of stats?

80,000 -99.75%=200

200 divide by 12 =£16.60

:lol:

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then steve, you must be the richest person around, so this news is not for you. you must make a fortune to cover that sort of mortgage.

if your on that much money - why are you here worrying about house prices ?

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then steve, you must be the richest person around, so this news is not for you. you must make a fortune to cover that sort of mortgage.

if your on that much money - why are you here worrying about house prices ?

I've been open re my finances consistently.

I don't worry about house prices but I am interested in how this cycle develops. To me prices are far too high for the good of society.

FWIW a 15 year repayment mortgage at 4.5% = £2,450 per month, at 6% £2,700 per month. Hardly an earth shattering rise.

We budgetted a worse case of 9%. Whilst the rate remains below this level we save the difference and pay off a lump sum periodically.

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Ignorant Steve

You seem to be on this forum a lot,its a wonder you find the time to earn all that money.By contrast I earn very little but fund all my liesure by being a lender at a similar value to your debt.

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YEP.

Use the guardian mortgage calculator for:

£80k

Over 25 years

At 4.5% = Monthly = £444

At 4.75% = Monthly = £456

bingo.

HOW DOES THAT AFFECT THE EVERAGE BTL NUMPTY????

......£15 per 100k debt......

......*6 props for instance

=£90 per month extra.

..throw rising unemployment into the mix............

...oh and utility bills.......

...oh and sub-par wage inflation......

oh and increasing voids......

oh and increased competition for exisiting tenants.......

doesnt't look too pretty to me!!!!

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I'm 35 and my mortgage is around £80k. I bought in 1999 when I was 28.

I would say a lot more people have lower mortgages than you think. Only the very silly people who have bought in the last 2/3 years, or are low earner home owners with high debts will be stretched.

But isn't the housing boom of the last few years because more people have bought houses?

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The recent increase in interest rates is likely to knock consumer confidence and hit retail spending even more. Based on rising unemployment and poor growth figures you would expect inflation to be stable but in fact it looks to be a little out of control.

The government is blaming rising fuel costs for the recent rise and therefore the latest interest rate rise will have little effect on controlling inflation. If inflation continues to rise after today we are all in big trouble this time.

Huge consumer debt and rising interest rates could mean a bust for a lot of people, but at the moment its only 1/4 of a % and even on 180,000 it only means another £45 per month.

We need to see at least 1% increase to make a big difference on house prices.

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HOW DOES THAT AFFECT THE EVERAGE BTL NUMPTY????

......£15 per 100k debt......

......*6 props for instance

=£90 per month extra.

..throw rising unemployment into the mix............

...oh and utility bills.......

...oh and sub-par wage inflation......

oh and increasing voids......

oh and increased competition for exisiting tenants.......

doesnt't look too pretty to me!!!!

And dont forget repairs..particularly a big one

The recent increase in interest rates is likely to knock consumer confidence and hit retail spending even more. Based on rising unemployment and poor growth figures you would expect inflation to be stable but in fact it looks to be a little out of control.

The government is blaming rising fuel costs for the recent rise and therefore the latest interest rate rise will have little effect on controlling inflation. If inflation continues to rise after today we are all in big trouble this time.

Huge consumer debt and rising interest rates could mean a bust for a lot of people, but at the moment its only 1/4 of a % and even on 180,000 it only means another £45 per month.

We need to see at least 1% increase to make a big difference on house prices.

I disagree. IMO the 1/4% we have just had with further talk from "wise people" and media speculation of further rises will have in itself a fairly sobering effect. People will start to think about "buttoning down the hatches" which will effect consumer confidence and expenditure

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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